Technical Analysis

USDJPY below the 200 day MA and 38.2% retracement The USDJPY is trading toward the low for the day after an up and down run after the data dump at 8:30 AM. The key was the PCE inflation data. Inflation in the US is clearly trending lower. The market is chatting about the shorter term

The major US indices are trading higher after tame core and headline PCE data out of the US this morning. The good news is inflation is melting away. There is some worry, however. Nike reported their earnings after the close yesterday and their guidance was not all that rosy. Shares of Nike are trading down

EURUSD trades to highest since August 2023 The EURUSD has moved to a new week high and high going back to August 10. The next key target is that August 10 high at 1.10648. The high price today reached 1.10395 today. A move above 1.10648 will have traders targeting a swing area on the daily

GBPUSD buyers trying to push higher (again) The GBPUSD buyers are trying to push the pair above a swing area and into more open space. Having said that, the buyers are “trying”. The swing area is between 1.2723 and 1.2732 (see red numbered circles on the chart above). Looking at the chart above, there has

USDCAD below the 100 week MA The USDCAD on the weekly chart is trading below its 100-week MA at 1.3278. A close below that MA would be the first since May 2022. That would be more bearish technically. Staying below keeps the sellers in firm control. Having said that the pair moved down to test

High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not

AUDUSD heads toward target swing area The AUDUSD pair has reached a new daily high and is currently trading at its highest level since July 27. The price has just touched 0.6794, indicating a significant upward momentum. On the daily chart, this ascent brings the pair close to a crucial resistance zone, which lies between

The major US stock indices have hit the skids with the NASDAQ down 100 points now or -0.68%. The S&P index is also down by around the same amount. Nasdaq falls below 100 and 200 bar MAs Looking at the short-term five-minute chart of the Nasdaq index, the fall below the 100 bar MA started

USDCAD bounces in the swing area on the daily chart The USDCAD fell to a new cycle low and moved into a swing area between 1.3298 to 1.3320. The low price has reached 1.33146. The price has bounced back as traders leaned in the swing area on the first test. The price is back above

USDCAD runs to swing area between 1.3298 to 1.33203 USDCAD is moving to a new low going back to early August. The fall takes the pair toward the swing area that was in play earlier this year. That area on the daily chart comes in between 1.3298 to 1.33203. In April and May swing lows

GBPUSD is sharply higher today The GBPUSD is extending back toward its earlier highs at 1.2750 as European traders look to exit for the day. The GBPUSD moved higher in the European session. The UK CBI Trends Orders for December showed a significant improvement, with the orders figure reaching -23.0, a notable increase from the

USD The Fed left interest rates unchanged as expected with a shift in the statement that indicated the end of the tightening cycle. The Summary of Economic Projections showed a downward revision to Growth and Core PCE in 2024 while the Unemployment Rate was left unchanged. Moreover, the Dot Plot was revised to show three

TGIF. The JPY is the strongest and the EUR is the weakest as the North American session begins. The USD is mostly but moderately lower. The greenback is only higher vs the EUR and GBP. Yesterday, the EURUSD moved higher on follow through buying after the FOMC rate decision. The ECB did not thrill to

High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not

The AUDUSD moved sharply higher the last two days and in the process moved above the 50% of the 2023 range at 0.67134 on both trading days. Both days also stalled at 0.6728. Buyers of the shot on a number of attempts above the 50% midpoint, and each time they missed. On the downside, the

The USDCAD bottomed near a key swing area target at 1.3370 – 1.33776 (see red numbered circles on the chart below). The low prices reached 1.33725 and bounced. The move to the upside has reached 1.3402. That level is near the broken 61.8% retracement of the move up from the July low at 1.33999 (call

The GBPUSD ran higher today spurred on by follow-through USD selling (GBPUSD buying) after the more dovish Fed, and follow through buying of the GBPUSD pair on the back of a more hawkish BOE today. The move to the upside worked its way toward the 1.2800 where old swing high area between 1.2789 and 1.27994

Like many other currency pairs, the USDCAD is moving in the direction of a lower dollar and in the process is stretching toward a key technical target. The pair is moving closer to its 61.8% retracement of the 2023 trading year. That level comes in at 1.33999. The low price today has reached 1.34192. A